A Research Study to Determine Effective Marketing Communication Strategies for Businesses Located in Nunavut, Canada, 2018

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A Research Study to Determine Effective Marketing Communication Strategies for Businesses Located in Nunavut, Canada, 2018
A Research Study to Determine
Effective Marketing Communication
Strategies for Businesses Located in
Nunavut, Canada, 2018

Prepared for Nunavut business leaders, entrepreneurs, economic
development professionals, and business decision makers

Jason C. Little, MBA, Ed.D.
Franklin Pierce University

November 1, 2018

                               Copyright © Jason C. Little, 2018
A Research Study to Determine Effective Marketing Communication Strategies for Businesses Located in Nunavut, Canada, 2018
Acknowledgements

         I’d like to acknowledge my wife and partner Pamela P. Little for all her support and
encouragement for this project. To all of the exceptional participants in this study, who
welcomed me and enthusiastically communicated throughout the research process. To my Pond
Inlet business mentees Chris Idlaut, Jamesie Itulu, and Michael Milton; and hamlet community
volunteer, Aileen Hope. To the Franklin Pierce University Small Business Advisory Group, a
small team of undergraduate research students, who contributed to an earlier related study. To
Dr. Kim Mooney, President of Franklin Pierce University and Dr. Kerry McKeever, Academic
Dean, who both encouraged me at the very start of my research concept. To Dr. Andrea McGill-
O’Rourke, who reviewed/proofread my final report. Finally, to the Inuit entrepreneurs, for
whom I have profound respect and hopes for, including keeping intact their compelling cultural
heritage, while pursuing responsible business growth and acting as stewards of a vast landscape
that is connected to our beautiful planet.

For information and questions related to this study, contact:

Jason Little, MBA, Ed.D.

Prof. of Marketing

Franklin Pierce University

littlejc@franklinpierce.edu
Table of Contents

                                                                                                                                              Page

Executive Summary ........................................................................................................................1
Introduction .....................................................................................................................................3
      Purpose of the Project ............................................................................................................3
      Problem Statement .................................................................................................................3
      Research Objectives ...............................................................................................................3
      Definitions..............................................................................................................................4
Literature Review............................................................................................................................4
      Digital Media and the One Simple Idea Concept ..................................................................4
      The Role of Search Engines and Websites ............................................................................5
      Canadian Media Exposure and Usage ...................................................................................6
      Canadian Trust for Advertising .............................................................................................7
      Nunavut Population, Age, Ethnic Origin, Language Spoken, and Facebook Initiative ........8
      Nunavut Language Acts ....................................................................................................... 10
      Nunavut’s Gross Domestic Product ..................................................................................... 11
      Nunavut Internet Services .................................................................................................... 12
      Online Marketing Communications Used by Nunavut Inuit Owned Organizations ........... 12
Methodology ................................................................................................................................. 15
      Participant Selection ............................................................................................................ 15
      Data Collection Method and Timeframe ............................................................................. 15
      Assumptions......................................................................................................................... 15
      Limitations ........................................................................................................................... 16
Results ........................................................................................................................................... 16
      Marketing Communication Messages Often Communicated by Nunavut Businesses ........ 16
      How Nunavut Businesses Might Improve Marketing Communication Messages .............. 17
      Successful Marketing Communication Tools Used by Nunavut Businesses ...................... 18
      Types of Successful Media for Reaching Current Customers ............................................. 18
      Types of Successful Media for Reaching New Customers .................................................. 19
      How Nunavut Businesses Should Communicate More Effectively to Current Customers . 19
      How Nunavut Businesses Should Communicate More Effectively to New Customers ..... 20
      Types of Businesses Employing Successful Marketing Communication Strategies ........... 21
Discussion ..................................................................................................................................... 22
      Research Objective 1 ........................................................................................................... 22
      Research Objective 2 ........................................................................................................... 22
      Research Objective 3 ........................................................................................................... 23
      Research Objective 4 ........................................................................................................... 23
      Research Objective 5 ........................................................................................................... 24
      Research Objective 6 ........................................................................................................... 24
Research Objective 7 ........................................................................................................... 24
Conclusions ................................................................................................................................... 25
Recommendations ......................................................................................................................... 26
References ..................................................................................................................................... 28
Appendixes
     A Online Marketing Communication Observed on Nunavut Inuit Owned Websites ....... 32
     B Nunavut Business Related Links and Contacts .............................................................. 33
     C Interview Guide .............................................................................................................. 39
Figures
     1 Share of exposure to selected types of media on a typical day among Canadians ........ .6
     2 Percentage of users accessing selected social media platforms in Canada .................... .7
     3 Percentage of consumers who felt comfortable with levels of truth and accuracy ........ .8
     4 Nunavut age groups ....................................................................................................... .9
     5 Language spoken most at home ..................................................................................... 10
     6 Distribution of gross domestic product of Nunavut in 2017, by industry ..................... 11
     7 Nunavut Inuit firm name visible in Google search (listed in one of top 20 links) ........ 13
     8 Nunavut Inuit firms that have a homepage and/or website............................................ 13
     9 Nunavut Inuit firms that have at least one Facebook page ............................................ 13
     10 Nunavut Inuit firms that use LinkedIn ........................................................................... 14
     11 Taglines/Slogans observed on Nunavut Inuit Firms’ websites ...................................... 14
     12 Tagline/Slogan themes used by Nunavut Inuit Firms .................................................... 15
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                                     Executive Summary

Introduction

       This exploratory qualitative research study focuses on understanding marketing
communication strategies currently in place, but also how these strategies might be improved for
Nunavut businesses. This report can be viewed as a 2018 snapshot of considerations Nunavut
marketing decision makers face in a changing external environment.

Literature Review

        A marketing message that translates into one simple idea is the best approach for most
firms in this digital age. A website should be designed first, and be the center vehicle that
compliments and feeds social media back to the website. Less than half, or 39% of Nunavut
Inuit registered firms have a website, and only 19% have at least one Facebook page. Overall,
Canadians trust traditional media advertising more than new media advertising. The Nunavut
Language Acts and Nunavut Internet infrastructure present challenges for marketing
communication, but there are strategies available to meet these challenges.

Methodology

        This research study was based on a qualitative methodology. During July 2018, in-depth
face-to-face interviews took place in Iqaluit and Pond Inlet. The 11 participants represented a
broad spectrum of experts across business planning, finance, marketing, management, and
government.

Results

        Inuit culture, Inuit owned, and benefits-to-the-community emerged as top marketing
communication messages often communicated by Nunavut businesses. Respondents reported
marketing messages can be improved by providing better descriptions and clarity of product
offerings. Facebook, radio, and posters were reported as successful media types for reaching
current customers. Websites and Facebook presence were reported as the most successful media
types for reaching new customers. Interviewees reported that incentives such as loyalty programs
should be used to communicate more effectively with current customers, while
developing/maintaining a professional website was deemed most important for new customers.
Airline and hospitality businesses were reported as employing the most successful marketing
communication strategies.

Discussion

       Serving the community and Inuit themes emerged as top marketing communication
themes with both the interviews and a previous related study that focused on website reviews of
343 registered Inuit firms. Given 85% of consumers turn to Google for product information,
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clarity of product descriptions is paramount for marketing communication. Eighty percent of
Canadian internet users access Facebook on a daily basis. Not surprisingly, interviewees of the
study reported Facebook as the most important Nunavut business marketing communication tool.
With respect to reaching new customers, development of a professional website outpaced all
other strategies. It is quite possible some businesses are applying marketing communication in
four different languages, and in some situations, this may not be necessary (as this would help
reduce production/translation costs). For example, under the Official Languages Act, French is
not required for Nunavut businesses doing business across the territory.

Conclusions

        Marketing communication messages used by Nunavut businesses are primarily focused
on five areas: Quality service, customer service, serving the community, Arctic themes, and an
Inuit focus. Marketing communication can be improved by providing more clarity as to
products/services offered and providing simple memorable messages, especially related to the
community and Inuit. Successful media types for reaching current and new customers include
especially a website, Facebook, radio, and direct mail.

Recommendations

        Nunavut businesses need to be clear as to the products and services that are offered,
regardless of the types of media that are used and where the audiences are located. Marketing
communication messages should be short, memorable, easily translatable (especially from
Inuktut to English), and communicate a key selling point/message. Marketing communication
messages should relate to quality, customer service, serving the community, Arctic themes, and
an Inuit focus. Pictures, videos, and testimonials featuring customers, employees, and other
business stakeholders are recommended to help deliver messages related especially to the
community and Inuit. Both a combination of traditional and new media should be used to reach
targeted audiences. For local and territorial businesses, business owners need to consider that
market communication in French is not a requirement. Business development and support
organizations - including government and Inuit – should help provide the basic tools and training
for business owners who wish to develop/maintain a professional website; a much needed media
format for both current and prospective customers.
3

                                           Introduction

        Nunavut Territory represents roughly 2,000,000 square kilometers and is larger than any
other Canadian province or territory, with about 38,000 inhabitants spread across 25
communities (Statistics Canada, 2018a). Given the sheer size, remoteness, and northern latitude
of the territory, there are many challenges for new and developing businesses such as severe
weather conditions, poor infrastructure, affordable housing, an educated workforce, and food
security. On the flip side, there are also opportunities such as a growing population, tourism,
natural resources, fishing, creative arts, and a melting icecap that will allow for easier shipping.

                                                        Nunavut businesses face another
                                                challenge, but also an opportunity – how to
                                                deliver effective marketing communication to
                                                targeted audiences. This exploratory qualitative
                                                research report is focused on understanding
                                                marketing communication strategies currently in
                                                place, but also how these strategies might be
                                                improved to better reach current and new
                                                customers/clients across Nunavut, across Canada,
                                                the U.S., and other parts of the world.

                                                Purpose of the Project

                                                          The purpose of this project is to provide
                                                  useful marketing communication information to
                                                  Nunavut entrepreneurs, leaders engaged in
                                                  business development activities, and decision
                                                  makers of start-ups and on-going business
     Source: https://www.edimaps.com/nunavut-map/
                                                  entities. This report can be viewed as a 2018
snapshot of considerations marketing decision makers face in a changing external environment.

Problem Statement

       Research is necessary to determine effective marketing communication strategies for
businesses located in Nunavut, Canada.

Research Objectives

1. Review relevant Nunavut information, marketing communication messages, media, and
strategy.

2. Determine what kinds of marketing communication messages are delivered by Nunavut
businesses.
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3. Determine how marketing communication messages might be improved.

4. Analyze what types of marketing communication tools are successful.

5. Analyze what types of media are successful.

6. Identify how marketing communication strategy might be improved.

7. Determine what types of businesses are employing successful marketing communication
strategies.

Definitions

        Marketing communication. “Marketing Communications (MarCom) are coordinated
promotional messages and related media used to communicate with a market. Marketing
communications messages are delivered through one or more channels such as print, radio,
television, direct mail, and personal selling” (Marketing communications, 2017).

        Marketing communication tools. Communication options includes advertising, public
relations, personal selling, direct marketing, sponsorship, and promotion.

        Marketing messages. A marketing message represents the main idea that a business or
organization tries to convey to an audience. The key message is the “underlying idea or theme in
an ad, or the central or primary content or information that passes from a communicator to a
receiver” (Message, 2018). Many organizations develop a “…one or two sentence expression of
how a product or company provides an important customer need or differs from the competition”
(“The Power to Lure Customers,” 2015, para. 1). Marketing messages often communicate ideas
such as quality, affordability, important benefits, product features and capabilities, and current
industry standards.

                                       Literature Review

Digital Media and the One Simple Idea Concept

        Given the explosive growth of digital and mobile marketing, consumers are increasingly
bombarded with marketing messages across multiple devices. Technology users often switch
from one device screen to another and have shorter attention spans. Saxton (2017) suggests that
“…the average consumer is exposed to up to 10,000 brand messages a day…and consumers
switch between screens up to 21 times an hour” (para. 1). People now generally have an
attention span of eight seconds (McSpadden, 2015).

       Effective messaging can help meet these challenges. A message that translates into one
simple idea is probably the best fit for most firms in this digital age. The one simple message
delivery isn’t a new strategy. In fact, one of the greatest ad makers of all times, Rosser Reeves,
employed the “unique selling proposition” (USP) whereby “…he utilized the simple repetition of
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a single theme to cut through the clutter of advertising messages” (Sivulka, 2012, p. 231). A
good example of one of Reeves’s USP’s was developed for the Mars Company: “M&M’s melt in
your mouth, not in your hands.”

        Similar to USP’s, taglines (slogans) represent “the verbal or written portion of an
advertising message that summarizes the main idea in a few memorable words” (Tagline, 2018).
A slogan such as Nike’s “Just do it” has endured for years. When a tagline is used long enough,
it can become one of the most memorable parts of a firm’s identity (Gendelman, 2014).

The Role of Search Engines and Websites

        Search engines. As of September, 2018, Google controlled approximately 77% of
worldwide search engine market share, including desktop, laptop, and mobile devices (“Search
Engine Market Share,” 2017). Prospective customers are utilizing web searches, especially via
Google to locate business websites and specific store information. “Four in five consumers use
search engines to find local information. They search on smartphones computer/tablets for: store
address, business hours, product availability and directions” (Google, 2014). In another related
study, 85% of the respondents reported they were likely to use Google to help find product ideas
and information before making a purchase (Kenshoo, 2017). This study also suggests that if the
respondent sees “…an interesting product on another site, they also look on Amazon to find
alternative ideas and compare prices” (para. 2).

       Websites. Given many consumers are using Google searches to find information about
businesses, including descriptions of products and services offered, it is important for firms to
develop and maintain a reputable website:

       A website is a credibility booster… a website is the closest you can get to a solid
       presence on the Internet. Not a Facebook page, not a YouTube channel. Only a website
       speaks to the world “Yes I exist. I am a valid business. That is why I have spent time and
       money in building a website. Click on me.” (“Six Reasons Why,” 2018)

        This isn’t to say social media shouldn’t play a role in connecting customers and inquiries
to a business. Some experts suggest the website should be designed first, and be the center
vehicle that compliments and feeds social media back to the website:

       Use social media as a marketing platform to drive traffic back to your website. Use that
       traffic to grow your email and customer list so you can communicate with them any time,
       anywhere, on your own terms. At the end of the day, it’s much smarter to invest in
       something you own than to build on land that doesn’t belong to you. Someday the rules
       are going to change and it could have a major impact on your business, if you aren’t in
       control. This is why we highly recommend to our client’s that they invest in a
       website that they own and then use social media – and it’s many benefits – to reach new
       audiences and grow their business. (“Website vs Social Media,” 2017)
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        From the point of view of professionals that attributed their marketing success to selected
digital marketing activities in Canada, 88.7% attributed success to design, development, and
maintenance of the corporate website followed by marketing on social media at 78.8% (Ignite
Digital, & Canadian Association of Marketing Professionals, n.d.). It should be noted that on
average, approximately 13% of all U.S. Internet users (aged 18-59) purchased from a website
based outside of the U.S. (eMarketer, 2018). It is quite likely, a significant number of these
purchases completed were from Canadian websites.

Canadian Media Exposure and Usage

        With respect to share of exposure to selected types of media on a typical day among
Canadians, internet search, daily/community newspapers, and social media represented the top
three types of media (see Figure 1 below; News Media Canada, n.d.):

  Figure 1. Share of exposure to selected types of media on a typical day among
                         Canadians as of February 2018
                                                            Share of respondents
                                             0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0%

                              Internet search                                            67%

 Daily/community newspaper (print/online)                                            62%

                               Social media                                        59%

                 Commercial TV (2+ hours)                                  45%

                     Streaming TV services                              41%

                                   Billboard                     29%

               Commercial radio (2+ hours)                     26%

                    Magazine (print/online)                   23%

        Satellite/streaming radio (2+ hours)            13%

                                       Blogs          10%

Source: News Media Canada, n.d.
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       As of May 2018, Facebook represented the number one social media platform accessed
by Canadians (see Figure 2 below; Canadian’s Internet Business, n.d.). Sixty-four percent of the
18-34 year old bracket used Facebook products and services on a daily basis, while 56% and
52% used the platform for the 35-54 and 55+ year old bracket respectively (Angus Reid Institute,
n.d.). With regard to Canadians who had never used Facebook (as of March 2016), only 10% of
the 18-34 year old bracket represented this group (Insights West, n.d.). Thirteen percent and
23% of the 35-54 and the 55+ year old bracket respectively also had never used Facebook.

 Figure 2. Percentage of internet users accessing selected social media platforms
 in Canada as of May 2018

                                    Share of respondents
             0.0%   10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0%
   Facebook                                                                        80%
   LinkedIn                                          45%
 Google Plus                                      40%
  Instagram                                      39%
    Pinterest                                  36%
     Twitter                                  35%
   YouTube                            27%
   Snapchat                         24%
     Tumblr           7%
      Reddit          7%
       Flickr        6%

Source: Canadian’s Internet Business, n.d.

Canadian Trust for Advertising

       Figure 3 below suggests newspaper advertising led the way as to the percentage of
Canadian consumers who felt comfortable with levels of truth and accuracy (Advertising
Standards Canada, n.d.) . Seventy-four percent of the respondents felt comfortable with
newspaper advertising, followed by radio advertising (68%), out-of-home (67%), magazines
(67%), and television (65%). Various digital advertising formats such as promotional emails, ads
on websites, etc. faired significantly lower at 36% or less. Although not included in Figure 3
below, a related study indicated that 77% of adults (aged 18 years and older) agreed that
“recommendations or word-of-mouth” is a trusted source of information about products and
services (Proof Inc., 2018, p. 47).
8

 Figure 3. Percentage of consumers who felt comfortable with levels of truth
           and accuracy in selected advertising formats in Canada in 2018

                                                      Share of respondents
                               0.0%         20.0%            40.0%           60.0%          80.0%

             Ads in newspapers                                                              74%
                   Ads on radio                                                       68%
               Out-of-home ads                                                        67%
              Ads in magazines                                                        67%
               Ads on television                                                     65%
 Promotional emails you receive                                 36%
       Ads on websites you visit                          29%
       Ads before online videos                       27%
                     Banner ads                       26%
   Ads on Google, Bing or other…                    24%
 Ads that appear on social media                21%
        Ads in smart phone apps              17%
                     Pop up ads       10%

Source: Advertising Standards Canada, n.d.

       Data suggests 75% of Canadian consumers agreed they have better recall of advertising
from trusted brands or companies in Canada (Ipsos, n.d.-a). Further, 82% of Canadian consumers
were willing to pay more for trusted brand products or services (Ipsos, n.d.-b).

Nunavut Population, Age, Ethnic Origin, Language Spoken, and Facebook Initiative

        Population and Age. Statistics Canada (2018a) reports that as of April 1, 2018, the
population of Nunavut stood at 38,456 inhabitants. From 2011 to 2016, the population of
Nunavut grew 12.7% (Statistics Canada, 2017a). This percentage increase was higher than any
other province or territory, and was linked to high fertility levels.

        Nunavut age group distribution represents a young population, with nearly 50% of the
population aged 24 or younger (Statistics Canada, 2018b). The largest age group represents the
0-14 group, or approximately 33% of the total population of Nunavut (see Figure 4). Compared
to the Canadian national average age of 41, the average age in Nunavut is 28.
9

                            Figure 4. Nunavut age groups

                                  4%

                          17%
                                                33%                 0-14 age group
                                                                    15-24 age group
                                                                    25-44 age group
                                                                    45-64 age group
                          29%                                       65+ age group
                                           17%

       Source: Statistics Canada, 2018b

       Ethnic Origin. According to Statistics Canada (2017b), the three most commonly
reported ethnic origins in Nunavut for the 2016 Census included:

       1. Inuit - 84.2%

       2. Scottish - 9.2%

       3. Irish - 4.9%

It should be noted an individual may have reported more than one ethnic origin.

       Language spoken. Inuit languages (Inuktut) include Inuktitut and Inuinnaqtun (Statistics
Canada, 2018b). Out of the 17,735 Nunavummiut (or 50% of the Nunavut population) who
speak an Inuit language most at home, 99% speak Inuktitut. One percent speak Inuinnaqtun (110
Nunavummiut). English and French account for 47% and 1% respectively of the total Nunavut
population (see Figure 5).

       Facebook initiative. It is worth noting that Facebook will be available in Inuktut in 2019,
based on the volume of feedback received from the community (“Facebook Canada,” 2018).
Inuktut speakers are now accessing the Facebook Translate app to offer proposed translations.
The community members then vote up or down to see if the translation becomes official.
10

                      Figure 5. Language spoken most at home

                                   1%
                                    2%

                                                                     Inuit Languages

                                                                     English
                         47%                 50%
                                                                     French

                                                                     Other

      Source: Statistics Canada, 2018b

Nunavut Language Acts

        There are two Nunavut Language Acts that marketing communication decision makers
need to consider when developing marketing communication strategies across Nunavut. The
Official Languages Act (OLA) and the Inuit Language Protection Act (ILPA).

         “The Official Languages Act for Nunavut recognizes the Inuit (Inuktitut and
Inuinnaqtun), English and French languages as the official languages within the territory”
(Office of the Languages Commissioner of Nunavut, n.d.-a, para. 1). “Every territorial
institution, meaning the Nunavut Courts, the Legislative Assembly, and the Government of
Nunavut, including that of its boards and agencies, must have its services and communication
available to the public in the official languages” (Office of the Languages Commissioner of
Nunavut, n.d.-b, para. 2). Under the OLA, French is not required for private sector business
organizations doing business across the territory (H. Klengenburg, Languages Commissioner,
personal communication, September 27, 2018).
        The Inuit Language Protection Act “…is the only Act in Canada that aims to protect and
revitalize a first peoples’ language. The aim is to increase the population of Inuit who can speak
and read their language fluently” (Office of the Languages Commissioner of Nunavut, n.d.-c,
para. 1). “The Inuit language, also called Inuktut, refers to Inuinnaqtun for Kugluktuk or
Cambridge Bay and Inuktitut for the other municipalities” (Office of the Languages
Commissioner of Nunavut, n.d.-d, p. 1). The ILPA applies to all organizations including the
private business sector such as “a corporation, a partnership, sole proprietorship, association,
cooperative, union or other non-government entity operating in Nunavut, whether or not it is
11

incorporated or registered in the Territory” (Nunavut Economic Developers Association, 2015, p.
13). Under ILPA, businesses are only required to use Inuinnaqtun for Kugluktuk and Cambridge
Bay, all other hamlets are required to use Inuktitut (H. Klengenburg, Languages Commissioner,
personal communication, October 11, 2018).
Nunavut’s Gross Domestic Product (GDP)
        According to Statistics Canada (2018c), Nunavut led all provinces and territories with a
13.3% GDP annual percentage increase for 2017. “Mining, quarrying and oil and gas extraction
(+29%) and construction (+48.9%) contributed to the most to growth….Services-producing
industries increased 3.6%....Retail trade was up 2.2%, the lowest growth rate in four years” (para.
60). The real GDP of Nunavut (in billion chained 2007 Canadian dollars) amounted to $2.23
billion (Statistics Canada, n.d.-a). Figure 6 below illustrates the percentage distribution of GDP
by industry:

 Figure 6. Distribution of gross domestic product of Nunavut in 2017, by
           industry
                                                                           Share of GDP
                                                0.0%          5.0%        10.0%     15.0%        20.0%     25.0%
   Mining, quarrying, and oil and gas extraction                                                         21.51%
                            Public administration                                                    20.68%
                                     Construction                                       14.15%
                Real estate and rental and leasing                             10.01%
                             Educational services                      6.52%
                Health care and social assistance                      6.16%
                                       Retail trade             3.9%
                                  Wholesale trade             2.72%
                 Transportation and warehousing           2.51%
                                          Utilities       2.34%
              Information and cultural industries        2.07%
  Administrative and support, waste management…          2.01%
                           Finance and insurance         1.64%
    Other services (except public administration)      0.99%
   Professional, scientific and technical services     0.94%
                Accomodation and food services         0.90%
      Management of companies and enterprises         0.49%
                                   Manufacturing      0.29%
       Agriculture, forestry, fishing and hunting     0.12%
              Arts, entertainment, and recreation     0.04%

Source: Statistics Canada, n.d.-b
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Nunavut Internet Services

        An efficient Internet infrastructure is one of the most important keys to the success of
growing a Nunavut business, especially a business that wishes to develop customers across the
territory and elsewhere. Historically, Nunavut’s high-speed internet and mobile data capacity has
been critically lacking. According to Jackson (2016), “even at the best of times, service is
excruciatingly slow…is a fraction of the Canadian average broadband speed” (para. 20).
Additionally, Nunavut internet service packages are generally extremely expensive.

        There are some encouraging developments. In partnership with Telesat, the Government
of Nunavut, and the Government of Canada, the Tamarmik Nunaliit project will provide higher
internet speed, at lower costs, throughout all 25 Nunavut communities by the end of 2019
(Northwestel, 2018).
       Northwestel will offer 15 Mbps Internet packages – three times faster than what is
       currently available – beginning next month [October 1st 2018 for Iqaluit]. The new 15
       Mbps service will include 100 GB of monthly usage, all for $129 per
       month. Northwestel will also begin to offer a new 5 Mbps package for $80 per month,
       with savings of $100 per month over current rates….Alongside Northwestel…Bell
       Mobility plans to offer [broadband wireless] LTE coverage in all 25 Nunavut
       communities in 2019. (Northwestel, 2018, para. 4)
Online Marketing Communication Used by Nunavut Inuit Owned Organizations
        The results from a previous related study entitled: A Study of Online Marketing
Communication Used by Nunavut Inuit Owned Organizations (Christian et al., 2018) are
included below. The researchers involved with this project included six undergraduate students,
led by faculty advisor, Jason Little. For simplicity, reference is made to this previous study as
the SBA Study. The SBA Study included an online investigation of 343 Inuit Firms that were
approved on February 20, 2018 by Nunavut Tunngavik Incorporated [NTI]; (2018a). “An Inuit
firm is (a) a limited company with at least 51% of the company’s voting shares beneficially
owned by Inuit, or (b) a cooperative controlled by Inuit, or (c) an Inuk sole proprietorship or
partnership” (Nunavut Tunngavik Incorporated, 2018b). The online investigations took place
from February through April, 2018.

        The SBA Study data suggested 87% of Nunavut Inuit firms appeared in the top 20 links of
a Google search (see Figure 7), 39% had a homepage and/or a website (Figure 8), 19% had at
least one Facebook page (Figure 9), 10% used LinkedIn (Figure 10), and 8% used a
tagline/slogan on the website (Figure 11).
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           Figure 7. Nunavut Inuit firm name
                     visible in Google search
                     (listed in one of top 20 links)

                         13%
                                               Yes     No

                                 87%

Source: Christian et al., 2018

          Figure 8. Nunavut Inuit firms that have a
                    homepage and/or website

                                  39%          Yes     No
                      61%

         Figure 9. Nunavut Inuit firms that have at least
                   one Facebook page

                                 19%

                                               Yes     No

                      81%
14

                      Figure 10. Nunavut Inuit firms that use
                                   LinkedIn

                                             10%

                                                                 Yes       No

                                     90%

            Source: Christian et al., 2018

       In addition to LinkedIn, other social media sites that were used by Nunavut Inuit firms
included Twitter (5%), Instagram (2%), Youtube (2%), and Pinterest (.3%). It was also observed
that Snapchat wasn’t used.

                   Figure 11. Taglines/Slogans observed on
                             Nunavut Inuit firms' websites

                                             8%

                                                                  Yes       No

                                      92%

       Figure 12 below represents tagline/slogan themes used by Nunavut Inuit firms.
Additional overall marketing communication messages (not including taglines/slogans) provided
on websites and page reviews were quite varied (see Appendix A). However, three themes were
evident:

   •   Employment and training opportunities for Inuit (observed on four different web sites)
   •   Promoting economic development (observed on four different web sites)
   •   Focus on customer satisfaction (observed on four different web sites)
15

                    Figure 12. Tagline/Slogan themes used by Nunavut
                               Inuit firms

                                                               Providing quality service
                                         22%
                                                               Serving the community
                    39%
                                                               Arctic theme

                                              14%              Customer relationships

                                                               Other
                            11%        14%

      Source: Christian et al., 2018

                                             Methodology

Participant Selection

        This research study was based on a qualitative methodology. During the spring of 2018,
the researcher conducted an online investigation as well as communicated with stakeholders to
determine the principal Nunavut government economic development departments, business
development organizations, and Inuit development organizations engaged in assisting start-up
businesses and on-going concerns (see Appendix B). A list of senior economic/business
development officers, general managers, managing directors, and executive directors was
generated and represented a broad spectrum of experts across business planning, finance,
marketing, management, and government. Approximately 20 professionals, who work in either
Iqaluit or Pond Inlet, Nunavut were contacted via email, and were provided information about
the project by the researcher. A total of 11 professionals agreed to meet with the researcher.

Data Collection Method and Timeframe

        During July 10th – July 23rd, 2018, 11 in-depth face-to-face interviews took place at the
participants’ office. The interviewing process lasted on average about an hour. The interview
guide is included in Appendix C.

Assumptions

        First, it was assumed that the selected information and statistics were appropriate for this
project. Second, it was assumed that the interviewees had the background, expertise, and
16

knowledge required to participate and contribute in a meaningful way to this study. Third, it was
assumed that the participants answered the questions honestly and accurately.

Limitations

         Given the time constraints of this study, only eleven interviewees from either the
territorial capital of Iqaluit, or the northern hamlet of Pond Inlet were selected. It is quite
possible representation from more hamlets would have provided additional perspectives and
information.

                                              Results

       Responses from participants were summarized using identical, or near identical key
words and short phrases.

Question 1: What Kinds of Marketing Communication Messages are Often
Communicated by Nunavut Businesses?

       Key Marketing Communication Message                       Number of Respondents Who
                                                                         Answered
Inuit culture and heritage theme                                             5
Inuit owned                                                                  4
Benefits of business to the community                                        4
Trustworthiness                                                              3
Descriptions of products/services                                            3
Quality of products/services                                                 3
Business provides Inuit employment opportunities                             2
Multi-faceted business theme – the business provides                         1
more than one product/service
Sponsorships                                                                     1

Additional selected quotes provided by respondents for question 1:

“The only store in town means there is/will be capacity building. That’s the attitude. People will
come.”

“The message needs to follow Nunavut Language Act protocols. Organizations often deliver
messages in English, French, and Inuktitut.”

“Inuit are not shy to identify themselves, but they don’t like being visible.”

“Government contracts are often awarded to contractors based on past experiences. It is difficult
for small contracting companies to compete and get the big contracts.”
17

“Communication messages need to be in four different languages…too complicated to make the
message pop. Printing costs are high for different languages. Translators are in demand, but
they often don’t care about time constraints and sometime they don’t translate accurately. Need
to keep the message short.”

Question 2: How Might Nunavut Businesses Improve Marketing Communication
Messages?

How to Improve Marketing Communication?                        Number of Respondents Who
                                                                       Answered
Description of products/services needs to be clear                         3
Communicate how the product relates to locale                              2
Emphasize uniqueness of product/service                                    2
Emphasize customer focus                                                   2
Personalization of communication including pictures of                     2
workers, community members, customers/clients
The business hires Inuit                                                    2
Communicate fair wages offered by business                                  1
Communicate social responsibility                                           1
Communicate environmentally focused                                         1
Multi-faceted businesses need to do a better job                            1
delineating products/services offered on website
Focus on lower cost compared to competitors                                 1
Uniqueness of product/service as it relates to Inuit                        1
Culture
Use mission statement to communicate                                        1
Feature testimonials of customers/clients                                   1
Feature pictures of landscape scenery                                       1
Rely more on professionals to help develop                                  1
communication strategy
Adjust messages to target specific segments                                 1
Utilize more online video messages that are delivered                       1
in Inuktut

Additional selected quotes provided by respondents for question 2:

“There are very few Nunavut businesses branching out beyond the immediate community.”

“Firms need to deliver on promise.”

“Inuit don’t know how to market beyond a hamlet. They don’t know what it means to market a
business.”

“Internet connectivity is still very slow and expensive in Nunavut.”
18

Question 3: What Types of Marketing Communication Tools are Successful?

     Successful Marketing Communication Tools                   Number of Respondents Who
                                                                        Answered
Social media (Facebook, including sell/swap)                                8
Word-of-mouth                                                               6
Public relations                                                            6
Advertising                                                                 4
Tradeshows (mainly government related)                                      2
Promotion (such as sales)                                                   2
Personal selling                                                            2
Direct Marketing (such as fliers)                                           1
Fairs (for artisans)                                                        1

Additional selected quotes provided by respondents for question 3:

“There are many informal Inuit businesses that are not registered with NTI, and are being run out
of someone’s home.”

“Local cultural products sell best. A lot of Inuit are forced to shop locally. They have no credit
card to take advantage of businesses like Amazon.”

“Radio for elders.”

Question 4: What Types of Media are Successful for Reaching Current Customers?

       Successful Media for Current Customers                   Number of Respondents Who
                                                                        Answered
Facebook (including sell/swap)                                              7
Radio                                                                       5
Posters                                                                     3
Local cable                                                                 2
Word-of-mouth                                                               2
Website                                                                     2
Fliers                                                                      1
Newspaper (free versions)                                                   1

Additional selected quotes provided by respondents for question 4:

“Facebook Inuktut translations for 2019 will need many translators… problem is so many
dialects.”
19

“Current customers vary. Could be your customer is the government (airlines, sealift companies,
long term health care in the southern cities, etc) and the best way to reach them is through
proposals and personal contact. If your customer is other Nunavummiut 10 - 60 years old then
Facebook, internet, and TV work. If you’re after one particular community, local posters and
community radio work well.”

Question 5: What Types of Media are Successful for Reaching New Customers?

         Successful Media for New Customers                    Number of Respondents Who
                                                                       Answered
Website                                                                    7
Facebook                                                                   7
Radio                                                                      3
Direct mail                                                                2
Newspaper                                                                  1
Word-of-mouth                                                              1

Additional selected quotes provided by respondents for question 5:

“A lot of businesses aren’t really concerned with reaching outside of Nunavut due to high
transportation/shipping costs.”

“….Personal community visits…websites that appear as top ranked Google searches.”

“For local businesses: Radio, Facebook, direct mail. For businesses outside locale: Professional
website.”

“Most Nunavut businesses don’t want to expand outside of Nunavut.”

“There was an opportunity to provide funding to local businesses for advertising, but no one took
advantage of the program.”

“Mail drop. Not many businesses do this beyond Nunavut. The cost of the post is subsidized by
Canadian Post for mail drop. There are only 10,000 mail boxes throughout Nunavut. Good
approach is to send out 10,000 brochures in unaddressed format to the 10,000 mail boxes.”

“Depends where/who your customers are. Facebook is good to reach masses in Nunavut, but not
necessarily paid ads. Each community has a “news/announcement” or “sell/swap” site which is
viewed by many.”

Question 6: What do you Think Nunavut Businesses Should do to Communicate More
Effectively to Current Customers?
20

   How to Communicate More Effectively to Existing            Number of Respondents Who
                      Customers?                                      Answered
Utilize incentives such as discounts, rewards, a chance                   4
to win something, loyalty programs
Use more local radio                                                        2
Communicate high quality products/services                                  1
Follow ups such as email, customer surveys, reminders                       1
Fliers of new offerings via post office boxes                               1
Social media                                                                1
Posters                                                                     1
Focus on honesty                                                            1
Keep up with communication such as updating postings                        1

Additional selected quotes provided by respondents for question 6:

“Very little understanding from some Inuit owned businesses. If a new business is up and
running and all appropriate licensing has occurred, the owner assumes everyone now knows
about the new start-up.”

 “Broadband is bad. This is the future. Satellite needs to be improved. The government/hospital
takes first priority for broadband usage, followed by everyone else. Web based business apps for
smart phones are expensive, so why have an app if broadband is lacking? For example,
customers could order taxi service by a smart phone app.”

“Community radio works well, but depends on the community – some are great, some not so
great.”

“Speak their language. Many companies are southern firms (especially the larger ones) and most
do not speak Inuktut. The best thing they could do is speak the local language and communicate
messages that way. Other than Iqaluit and a small number of communities in Kitikmeot (western
Nunavut), 90% of the population speak Inuktut. Messages should be created in the local
language/culture first then interpreted to English but mostly it’s done the other way around.”

Question 7: What do you Think Nunavut Businesses Should do to Communicate More
Effectively to New Customers?

    How to Communicate More Effectively to New                Number of Respondents Who
                       Customers?                                     Answered
Develop a professional website                                            7
Utilize or further develop Facebook                                       4
Participate in an event                                                   3
Update social media posts                                                 2
Word-of-mouth                                                             2
21

Referral programs                                                          2
Incentives such as discounts and loyalty programs                          2
Appear highly ranked with Google search                                    2
Maintain an online business directory for each hamlet                      2
Become a member of a membership organization                               2
Advertise outside of Nunavut                                               2
Focus on “Inuit Owned”                                                     1
Utilize short videos                                                       1
Local radio                                                                1
Communicate proven track record                                            1
Mail drop                                                                  1
Internet advertising including banner ads                                  1
Hire a marketing firm                                                      1

Additional selected quotes provided by respondents for question 7:

“Radio – a lot of elders listen to it.”

“Capable of delivering product/service.”

“Internet advertising appeals to the under 40-year old population.”

“Become a member of an organization that provides a professional site with appropriate content.
For example, Nunavut Tourism provides the web site platform for member businesses involved
in tourism. The site receives 500,000 hits per year.”

“Short online videos would help especially artists.”

Question 8: What Types of Businesses are Employing Successful Marketing
Communication Strategies, Including the Message, Communication Tool, and Media
Formats?

Types of Businesses that Employ Successful Marketing           Number of Respondents Who
                  Communication                                        Answered
No specific types                                                          4
Airline companies                                                          3
Hospitality                                                                2
Fashion designers                                                          1
Marketing firms                                                            1
Tourism                                                                    1
Arts and crafts                                                            1
Outfitters                                                                 1
Construction                                                               1
22

Additional selected quote provided by a respondent for question 8:

“Very few have done a good job.”

                                           Discussion

Research Objective 1: Review Relevant Nunavut Information, Marketing Communication
Messages, Media, and Strategy

        The use of digital devices, especially mobile devices are globally on the rise. To help
businesses effectively communicate messages that current and prospective customers can
remember (especially given the multitude of daily messages people receive from advertisers), a
unique selling proposition can help cut through the clutter (Sivulka, 2012). Taglines also help in
this respect (Gendelman, 2014).

        Although many Nunavummiut are not able to afford digital devices (especially a smart
phone), nor may they have access to affordable internet service plans that provide reliable
internet speed, there is evidence of improvement on the horizon. Initiatives such as the
Tamarmik Nunaliit project are slated to improve satellite internet speed and lower costs for all 25
Nunavut communities, by the end of 2019 (Northwestel, 2018).

       Given nearly 50% of the Nunavut population is aged 24 or younger, and younger
Canadians tend to utilize Facebook products and services slightly more on a daily basis as
compared to older Canadians, Facebook is an important media type for this younger age
audience (Statistics Canada, 2018b; Angus Reid Institute, n.d.) . Yet, the results of the SBA
Study (Christian et al., 2018) suggested only 19% of Inuit owned businesses have at least one
Facebook page.

        In addition to new media, traditional media types should not be overlooked by Nunavut
businesses, especially from a trust and accuracy viewpoint. All traditional media types including
newspaper, radio, out-of-home, magazines, television, and word-of-mouth advertising are
significantly viewed more positively compared to digital advertising formats including
promotion emails, ads on websites, banner ads, search engine ads, social media ads, and pop-up
ads (Advertising Standards Canada, n.d.; Proof Inc., 2018).

Research Objective 2: Determine What Kinds of Marketing Communication Messages are
Delivered by Nunavut Businesses

        Based on the SBA Study results (Christian et al., 2018), the most significant marketing
communication messages used by Inuit owned businesses included providing quality service,
serving the community, focusing on customer satisfaction/relationships, and Arctic themes. The
SBA Study also suggested four different business firms communicated via the website that the
business provides Inuit employment/training opportunities. These findings were somewhat in
line with the stakeholder in-depth interviews. Inuit culture, Inuit owned, and benefits that the
23

business provides to the community emerged as the top three marketing communication themes.
The interview findings also suggested quality (like the SBA Study), is an often communicated
marketing message.

Research Objective 3: Determine How Marketing Communication Messages Might be
Improved

        With respect to the in-depth interviews, clarity of product/service descriptions emerged as
the most noted issue with improving marketing communication. Given some Nunavut
businesses are involved with more than one business, this issue becomes even more critical. As
one interviewee stated “multi-faceted businesses need to do a better job delineating
products/services offered on the website.” With increasingly more Nunavummiut (as with global
community) looking to the web in search of products/services, businesses should provide precise
descriptions, including what makes the product unique and differentiates it from the competition.
As Kenshoo (2017) reported, 85% of consumers are likely to use Google to help find product
ideas and information before making a purchase.

       The SBA Study (Christian et al., 2018) findings suggested a few businesses (14% of Inuit
owned) utilize tagline/slogan themes associated with serving the community. Interestingly, this
same theme emerged with the in-depth interviews. Some stakeholders (interviewees) thought
marketing messages could be improved by focusing more on the community theme such as how
the product relates to the locale, businesses hiring Inuit, providing fair wages, and
communicating pictures and testimonials of local employees and customers.

Research Objective 4: Analyze What Types of Marketing Communication Tools are
Successful

        From the Canadian marketing professionals’ perspective, 88.7% attribute their marketing
success to websites followed by social media at 78.8% (Ignite Digital, & Canadian Association
of Marketing Professionals, n.d.). In terms of social media, 80% of Canadian internet users
access Facebook on a daily basis (Canadian’s Internet Business, n.d.). These findings were
somewhat in sync with the results of the in-depth interviews. Interviewees reported social media
(Facebook) as being the most successful tool. Word-of-mouth was also reported by the
interviewees as an important marketing communication tool for Nunavut businesses, similar to a
different study that reported 77% of adults agreed that word- of- mouth is a trusted source for
learning about products and services (Proof Inc., 2017). It should also be noted that public
relations (especially via local community radio and newspaper) was also reported by some of the
interviewees as being a successful marketing communication tool.

Research Objective 5: Analyze What Types of Media are Successful

      The results of the in-depth interviews suggested Facebook, radio, and posters were most
prominent and successful types of media for reaching current customers. With respect to
24

reaching new customers, a business website, Facebook, and radio were the most noted. As the
literature suggested, prospective customers typically utilize Google searches to locate business
websites and store information (Google, 2014), so it was not surprising that most of the
interviewees reported websites as the number one media format for reaching new customers. It
was also noted that one of the respondents suggested some businesses might benefit by a direct
bulk mailing in an unaddressed format. The respondent stated “there are only 10,000 mail boxes
in Nunavut, and using a mail drop would be a good approach doing business across the
territory.”

Research Objective 6: Identify how Marketing Communication Strategy Might be
Improved

        The in-depth interview results suggested utilizing incentives (such as discounts, rewards,
a chance to win something, and loyalty programs) and using more local radio as important
strategies for improving communication strategy to current customers. With respect to reaching
new customers, development of a professional website outpaced all other strategies, followed by
utilizing/developing Facebook pages and participation in an event.

        An important issue emerged among some of the participants related to language
translation challenges. Most of the time English is translated into Inuktut, but as one participant
stated, “it should be done the other way around by creating the message in Inuktut, then
translated into English.”

        Related to government mandates, it was not completely clear on Nunavut government
and Nunavut business support websites as to what languages businesses are required to provide
by law. Specifically, under the Official Languages Act for Nunavut, it was discovered French is
not required for private sector business organizations doing business across the territory (H.
Klengenburg, Languages Commissioner, personal communication, September 27, 2018).
Secondly, under the Inuit Language Protection Act, businesses are only required to use
Inuinnaqtun for Kugluktuk and Cambridge Bay, all other hamlets are required to use Inuktitut. It
is quite possible some businesses are advertising in four different languages, and in some
situations, this may not be necessary. Printing and translation costs could be reduced, and
overall simplification gained, if fewer languages are communicated.

Research Objective 7: Determine What Types of Businesses are Employing Successful
Marketing Communication Strategies

       The in-depth interview results suggested airline companies and hospitality businesses are
employing successful marketing communication strategies. While other types of businesses were
mentioned, there wasn’t a lot of common ground as to responses, and most of the respondents
agreed that more needs to be done to improve marketing communication. One respondent stated
“very few have done a good job.” Given public administration is one of the top contributors to
the Nunavut’s GDP (Statistics Canada, n.d.-b), and as one respondent stated “government
25

contracts are often awarded to contractors based on past experience,” it is quite possible
advertising and marketing communication messaging are minimally utilized or needed in that
industry sector.

                                          Conclusions

       Seven conclusions resulted from this study that coincide with the research objectives:

       1. It was concluded that Nunavut business opportunities abound, especially given
Nunavut’s vast natural resources, population growth, and GDP growth. Effective marketing
communication that relays a simple memorable message, and captures the appropriate mix of
both new and old media can be very effective in reaching current and new customers.

        2. Marketing communication messages used by Nunavut businesses included primarily
five focus areas: Quality service, customer service, serving the community, Arctic themes, and
an Inuit focus (employment/training, culture, and Inuit-owned business).

       3. Marketing communication could be improved by providing more clarity as to
products/services offered and providing simple memorable messages, especially related to the
community and Inuit such as how the product relates to the locale, Inuit hiring, and
communicating pictures/testimonials of local employees/customers.

       4. Successful marketing communication tools used by Nunavut businesses included word
of mouth (face-to-face and online), advertising (especially local media such as radio and
newspaper), and public relations.

        5. Successful media for reaching current customers included Facebook, radio, posters,
direct mail. Successful media for reaching new customers included a professional website,
Facebook, radio, and direct mail.

        6. Marketing communication can be improved for reaching current customers by
utilizing incentives (such as discounts, rewards, and loyalty programs) and using radio. For
reaching new customers, it was concluded that a professional website and using Facebook were
important strategies. It was concluded that language translations need to be accurate and that
business organizations are not required by law to deliver communication in French across the
territory. Additionally, while all hamlets are required to use Inuktitut, only Inuinnaqtun is
required for Kugluktuk and Cambridge Bay.

        7. Airline and hospitality businesses are employing successful communication strategies,
but it was concluded that most other business sectors need to do a better job.

                                       Recommendations

1. Nunavut businesses need to be clear as to the products and services that are offered,
regardless of the types of media that are used and where the audiences are located.
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